American Airlines pilots threaten to picket
Marketwatch - October 10, 2007 1:39 PM ET
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SAN FRANCISCO (MarketWatch) - The head of American Airlines' pilots union threatened to see American's CEO "on the picket line" and in court after the carrier's management have failed to meet the union's demand for a bigger share of the company's profits.
In a highly charged letter to Gerard Arpey, CEO of American and its holding company AMR Corp. (AMR), Allied Pilots Association President Lloyd Hill criticized the carrier's management for unfair dealings with the union; for fattening management ranks and bonuses while "labor is deprived of bottom-line benefits;" and for garnishing sick pay from disabled employees.
The withdrawn sick pay, Hill wrote, is linked to "unprecedented suicide rates and pilots deserting their families," according to the letter, which was dated Sept. 18 but was made public on the Web site of the Ft. Worth Star-Telegram Wednesday.
The letter, signed by two other pilots union officials, reflects growing rancor between the world's largest airline carrier and its workforce, which agreed to concessions as the airline operator struggled with huge losses after the Sept. 11 attacks and dive in travel demand. As AMR has returned to profitability, its unions have clamored for raises to make up for previous cuts.
The letter ends: "Enjoy your blood money and your union-busting meetings. We'll see you in court, in the newspapers, and on the picket line."
Shares in AMR were some of the worst-performing Wednesday, falling 4.3% to $24.03.
The pilots union has previously requested a 30.5% pay increase and a 15% signing bonus, reports the Associated Press.
Gregg Overman, a spokesman for the Allied Pilots, referred a request for the letter the newspaper's Web site. He didn't immediately respond to questions about the letter's claims.
Marketwatch - October 10, 2007 1:39 PM ET
Related Quotes
Symbol Last Chg
AMR Trade 24.42 -0.71
Quotes delayed at least 15 minutes
SAN FRANCISCO (MarketWatch) - The head of American Airlines' pilots union threatened to see American's CEO "on the picket line" and in court after the carrier's management have failed to meet the union's demand for a bigger share of the company's profits.
In a highly charged letter to Gerard Arpey, CEO of American and its holding company AMR Corp. (AMR), Allied Pilots Association President Lloyd Hill criticized the carrier's management for unfair dealings with the union; for fattening management ranks and bonuses while "labor is deprived of bottom-line benefits;" and for garnishing sick pay from disabled employees.
The withdrawn sick pay, Hill wrote, is linked to "unprecedented suicide rates and pilots deserting their families," according to the letter, which was dated Sept. 18 but was made public on the Web site of the Ft. Worth Star-Telegram Wednesday.
The letter, signed by two other pilots union officials, reflects growing rancor between the world's largest airline carrier and its workforce, which agreed to concessions as the airline operator struggled with huge losses after the Sept. 11 attacks and dive in travel demand. As AMR has returned to profitability, its unions have clamored for raises to make up for previous cuts.
The letter ends: "Enjoy your blood money and your union-busting meetings. We'll see you in court, in the newspapers, and on the picket line."
Shares in AMR were some of the worst-performing Wednesday, falling 4.3% to $24.03.
The pilots union has previously requested a 30.5% pay increase and a 15% signing bonus, reports the Associated Press.
Gregg Overman, a spokesman for the Allied Pilots, referred a request for the letter the newspaper's Web site. He didn't immediately respond to questions about the letter's claims.
